2021-01-18 GC - Item 3 - Attachment 3 - Cost Benefit Analysis for Coastal Erosion Options

4.2.        Benefits
The benefits assessed through the CBA are described here and include benefits associated with a
range of tangible and intangible assets including:

•    property protection

•    public asset protection

•    recreational use

•    tourism

•    non-use values (i.e. relating purely to the existence of the natural environment)

•    amenity.

Under different options these identified benefits may increase or decrease relative to the base case.
Where benefits decrease, for example where there is loss of beach width leading to reduced
recreational use, the value will be negative.

All data and assumptions used in the analysis have been provided in Appendix B.


4.2.1.      Property benefits

The property benefits included in this analysis are based on the physical protection of private
properties that are under threat from coastal erosion processes. The types of properties which have
been identified and valued through this CBA include:

•    residential properties

•    commercial properties

•    vacant land.

These benefits are not just the static market value of these properties, but the benefit received from
being able to live in or run businesses from these beachfront properties over time. The assumed
annual benefits for protecting each property are calculated using the current property value and
estimated redevelopment costs. Property values are derived from historical sales data for each
identified at risk property. Where this specific data is not available an average value, based on the
value of other beach front properties in the same suburb, has been used. The identified property
benefits accrue to the owners of a property, with negligible benefits flowing to the broader public.


4.2.2.      Public asset protection benefits

There are benefits associated with protection of public assets that are under threat from coastal
erosion processes. The benefits from protection of these assets are assumed to accrue equally to all
citizens within the Council region. The key assets which have been identified and valued through this
CBA include:

•    roads

•    surf clubs

•    other public assets including stormwater and sewerage networks, and life-saving services.




AITHER | Final Report                                                                                    13
Noosa Shire Council – Coastal Hazard Adaptation Plan